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On 1 March 2015, major amendments to Russian land legislation regarding the formation and allocation of plots of publicly-owned land, and in particular land used for the purposes of construction, came into force. These changes primarily affect developers and general contractors operating in the Russian real estate market.
What amounts to a large-scale reform of Russian land law commenced with last summer’s adoption of Federal Law No. 171-FZ "On Amendments to the Land Code of the Russian Federation and Certain Legislative Acts of the Russian Federation” dated 23 June 2014 (the "Law"). The Law sets out new rules for the creation, cessation and exercise of rights to land. The Law also reduces the number of administrative procedures in this field and establishes an exhaustive list of cases when plots of land can be allocated without the need for a bidding process.